Namco Bandai's president, Takeo Takasu, has come right out and said it: "without any announcements so far, the spring release is impossible." While developer kits have shipped and third-party companies are working on putting together the first round of games to coincide with the release of the platform, the status of the final hardware itself is very much in question.
First, a report from a Taiwanese manufacturer Compeq (translated web site) indicates that Sony has placed an order to manufacture the printed circuit boards for the PS3, an order that is not scheduled to be delivered in bulk until the end of June or early July.

Obviously, this would make a spring 2006 launch "impossible" and may delay the Japanese launch until fall or even later. As the US release is scheduled for several months after the Japanese one, it may miss the crucial Christmas 2006 shopping season.
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Credit: BitBurners